FXTM information and reviews
FXTM
93%
IronFX information and reviews
IronFX
92%
Libertex information and reviews
Libertex
91%
FXCC information and reviews
FXCC
90%
Markets.com information and reviews
Markets.com
89%
FxPro information and reviews
FxPro
88%
EUR/USD
1.1733
BTC/USD
42 294.79
GBP/USD
1.3640
USD/JPY
109.4985
USD/CHF
0.9224
USD/CAD
1.2799
EUR/JPY
128.4704

Trump's tax reform worth $1.5 trillion


29 January 2019

One year after one of the biggest tax overhauls in American history,  a survey released on Monday has revealed that the tax cut has not brought about the anticipated huge changes to the investments and employment plans of businesses across the United States.In 2018, the Donald Trump-led administration effected a $1.5 trillion tax cut with hopes of increasing both job growth and investments, in line with its hotly-debated trickle-down economic philosophy.

The quarterly business conditions poll carried out by The National Association of Business Economists (NABE) however, shows that the vast majority of survey respondents have not changed their hiring and investment plans since the tax cut was passed. According to the survey results, the number of respondents who have not increased investments has actually gone up from 81 percent to 84 percent compared to the prior poll published in October 2018.

Tax savings fail to trickle down


The corporate tax slash from 35 percent to 21 percent which took effect in January 2018 was marketed by the Trump White House as a business-friendly policy that would catalyze investment and job creation as well as increase business spending, resulting in overall economic growth and increased wages. According to the trickle-down theory, such tax cuts which put more money into the hands of investors and shareholders will result in increased business and personal spending, which will act as a boost for the economy.

In what looks like bad news for equity markets, the poll also revealed that business spending slowed down in Q4 2018 even though reports from the third quarter had indicated a mid balance. According to the survey, capital spending is at the lowest it’s ever been since July 2017 and the coming next three months are also not looking positive.

Trickle Sideways? Trump’s Business-Friendly $1.5 Trillion Tax Overhaul Incentivized Corporations Into Changing Nearly Nothing, CCN, Jan 29


Related

Stock Futures Trade Sharply Lower
Stock Futures Trade Sharply Lower

Futures in the United States and in Europe are trading sharply lower as investors worry about the domino effect of Evergrande’s massive plunge on the Chinese property market..

21 Sep 2021

Oil market: the unbalanced demand and supply
Oil market: the unbalanced demand and supply

Oil prices climbed to higher grounds in the most recent daily sessions adding further to its upward momentum formed so far in September. The Oil market is running...

21 Sep 2021

US Markets lost major support, Asian Indices are melting
US Markets lost major support, Asian Indices are melting

Global markets closed last week on the back foot, and no significant positive factors emerged in Asian trading, increasing the flight to safety. The Hang Seng lost...

20 Sep 2021

US Retail sales and other data has supported Dollar
US Retail sales and other data has supported Dollar

The US Retail sales notably exceeded expectations, adding 0.7% in August vs an expected 0.7% decline. The increase to August last year is an impressive 14.9%...

17 Sep 2021

Geopolitics Fire Up Up and Cryptos Are Booming
Geopolitics Fire Up Up and Cryptos Are Booming

Futures in the United States and Europe are trading lower today as investors are worried about the new security agreement between the U.S., the U.K. and Australia...

16 Sep 2021

UK inflation surges, stocks struggle
UK inflation surges, stocks struggle

European markets flat at the open this morning as UK inflation surged to a record high in August and Chinese economic data was soft. China’s retail sales fell to...

15 Sep 2021


Editors' Picks

OctaFX information and reviews
OctaFX
86%
HotForex information and reviews
HotForex
85%
XM information and reviews
XM
80%
FXCM information and reviews
FXCM
79%
Vantage FX information and reviews
Vantage FX
78%
Moneta Markets information and reviews
Moneta Markets
77%

© 2006-2021 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.